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tv   After the Bell  FOX Business  May 9, 2014 4:00pm-5:01pm EDT

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new york stock exchange. [closing bell ringing] liz: great day for the bulls. , boy, it didn't look like it would end up very well. looks how stocks are finishing up. dow jones industrial seeing gains. what a roller coaster ride. up 342 points. a decent swing of more than 60 points here. s&p 500 looking at a bain gain of nearly three points. nasdaq finding its footing up 20 points a good day for the markets. adam: time for your front page headlines. apple closing in on what could be the biggest acquisition ever. according to people familiar with the matter, wanting to pay
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2 billion bucks for high-end head phone-maker beats. liz: will they call off the 35 million-dollar merger. the company cited difficulties in completing transaction in reasonable time frame. big story there. adam: bp shares closing higher after the company reported 9% increase in same-store sales led by the old navy chain. the retailer gave guidance that beat retail expectations. liz: snap shatter, maybe something is not erasable. they settled with the ftc about the disappearing nature of messages sent through the service. the company was accused of collecting user data without telling them. adam: goldman sachs is being investigated about its hiring practices overseas. the sec is examining whether the bank or its employees violated anti-bribery laws by hiring relatives of well-connected officials. liz: u.s. postal service reporting a second-quarter loss
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of $1.9 billion. the 20th time in 22-quart is it posted a loss. the post office is urging congress to pass comprehensive postal legislation to stop the bleeding. "after the bell" starts right now. liz: quite a bit of action in this market week. let's break it all down with david kudla, who is telling us where he sees froth in the market. market risk analyst, jared levy has three plays to beat. volatility coming with that and bob eye a chino in the pits of the cme. we start with bob. what a today. >> up and down. >> did you say comprehensive postal regulations? liz: it's a bit, bit questionable double entendre. >> post office and they will, whatever.
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look the market itself doesn't seem to have enough juice to power through the highs the way we did in the past. we had a lower bar this earnings season. majority of companies beat. a little better on actual earnings line and top line revenue numbers but i'm a believe in the weather snap back, i really am. being in chicago, there are certain amounts of shopping that goes on just out of frustration, right? we had a really, really strong winter. if with the fed staying course i think we see new highs. we're going into the slow season. i think a buying dip, not flat-out buying like it was in maybe january and february. adam: david, we keep going back and forth, back and forth. everyone has a opinion whether the bull market will continue or we get a pullback. you still think we have room to go up, don't you? >> i think we still have room to go up. think we're in a long term secular bull market for stocks. we're in seasonally weak period for stocks as well and we've seen a lot of volatility recently. i agree with the comment on the snapback with weather effects in
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first quarter. we saw that in jobs number and ism an economy is improving. we think you can look to some of these value place for some real opportunity the next several months. liz: more opportunity but where? where do you see that opportunity when you have to work a little harder for it, david? >> we've seen a lot of high flying momentum stocks last year come down a lot. we've seen this growth to value and small cap to large cap. one of the sectors that we like the best, it is still pretty cheap, but it is broken out recently is energy. investors can own this through xle, an etf that broadly buys energy stocks. we think there is a lot of open student the next few months. a good way to diversify your portfolio with stocks that are still undervalued and have a long way to go. adam: jared, would you agree with that? i know you have some concern come this summer, later summer, we could see a real pullback pretty dramatic? >> right. there are some themes here we should all listen to. number one is rotation out of those high value or.
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rotation out of smaller cap stocks into bigger blue chip type names. here's the deal, couple things. number one options markets are predicting a larger pullback mainly toward the end of the summer. overarching themes are important. do not go into high multiple names aim, namely nasdaq. if you look at its chart is looking completely different than the s&p. it is breaking down and moving lower. i think a lost multiple names are going with it. the way to be smart, individual stocks you know really well or etf's with certain overarching theme. i'm looking pff, which is preferred stock etf i kind of like. niches like that are where to follow. stay away from high flying names. that's where you're going to get burnt. liz: bob, how about going into names with dividend yields? i seem only talk talking about these but seems like a year-and-a-half ago trade.
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do people go back to because they sense correction coming? >> there is danger to that if you play the correction you play it from cash. listen to what jared and david are saying because essentially all three of us are saying the same thing. the russell almost reached its correction. that is the small cap index. energy is a great play. i like people who produce drilling equipment for the fracking because there is ton of oil out there. wti crude continues to leak lower. pipelines are full. you have got refinery resets in the gulf. those plays are going to make a lot of money i think, jared is dead on but i don't necessarily think you go to dividend paying. if the big correction comes you're taking a lot of price pain while taking next dividend payment but i'm bullish. adam: if russell is settings up for a pullback, wouldn't it be sensible to take money off the table and park the and come back in the fall? >> i actually like the dividend players right now. with when he see periods before getting more volatility in the market. small caps had trouble.
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high beta names, nasdaq had trouble actioner dow and s&p are doing a little better. agree with the idea on preferreds. we like ffgf. that excludes the financials -- pfxf. but you get very stable price with high yields. >> put that up if we can. pxfx. that is similar to jared had but ex-financials so you don't get concern about that. >> that's right. liz: you heard about that, jared. >> best performing preferred etf year-to-date. it has been an outstanding performer. i think dividend plays are where you want to go. coming back to energy, big blue chip, conocophillips, trades at pe of 11, 3 1/2% dividend yield. great earnings compared to its peers and that's a place you want to be now. liz: what is dividend on that? >> dividend yield of 3.6%. liz: used to be higher but -- adam: jared, what are some of the stocks we keep hearing people about finding value. help us find value.
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are there individual stocks that stand out to you? >> you know, honestly this is great question. first of all, you can either be right or be rich. you can't be both. be careful when you go along with the crowds, okay? but you have to think about what they're doing. first of all if you heard a lot about a name probably already done. here's a name you want to look at. oled is the ticker. universal display corporation. i've been talking about company for years. they recently pulled back. just beat earnings after the close. this stock has great growth potential. liz: look at the move today. 15%. >> yeah. and it's got more liz, even on that pop we could see up side. i have $36 on the stock. i like it as a long-term player fdy, looking for dividend, a little more safer. google a major name but it has been batter and bruised. i think you can get upside for longer term with a great stock with a great story. liz: jared levy, david kudla, bob iacino.
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bob, we'll come back to you shortly when the s&p futures close. have a good friday. adam: will april showers bring more than just mayflowers? are the bulls at the gate ready to let loose? we'll ask one of the top strategists on the street,s are koestrich, blackrock's chief investment strategist will join us. liz: in order to succeed many companies think bigger is better but what you may think may not always be true. we have the ceo who found that having fewer clients he led to much bigger money and success. you need to hear about this strategy. it is a harvard business school case study. he is here with us to talk about how he did it. adam: forget the word reports. there is proof out there that apple's purchase of beats is a done deal. you will see just ahead. join the conversation. if apple changes beats head phone name what would you call it? tweet us @fbnatb.
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your answers are coming up. ♪ [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪ or not? what if they embrace new technology instead? ♪ imagine a company's future with the future of trading. company profile. a research tool on thinkorswim. from td ameritrade.
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spending the day with my niece. i don't use super poligrip for hold because my dentures fit well. before those little pieces would get in between my dentures and my gum and it was uncomfortable. even well-fitting dentures let in food particles. super poligrip is zinc free. with just a few dabs, it's clinically proven to seal out more food particles so you're more comfortable and confident while you eat. so it's not about keeping my dentures in, it's about keeping the food particles out. [ charlie ] try zinc free super poligrip. >> group upon shares continue to -- groupon shares continue to recover after plunging into the red earlier this week. adam: nicole petroleum on floor of the new york stock exchange. nicole what have you got for us?
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>> adam, and liz, i'm taking a close look at group upon. liz, you made a great point the fact it did plunge after the earnings report of wider loss. forecast was really a disappointment. it is down for the week. clawed its way back at least somewhat. 7% to the upside is a big move. one of the reasons you have one of the analysts being a believer in groupon. after meeting with his ceo saying that basically they can deliver, thinking that the back half of the year may be good news for groupon if they can bring it with a local growth in north america. having growth on the good segment, right? achieving better margins in that area. ultimately saying that this selloff may have been a little overdone. he maintains his $12 price target with a buy rating. so there are some believers in groupon despite the fact it had a tough week and don't forget year-to-date it is down close to 50%, liz and adam. liz: buying opportunity some
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would say. thank you, nicole, very much. adam: s&p futures are closing. we want to head back to bob iaccino in pits of cme. bob? >> we're seeing very quiet into the close just like when i was talking to you a few minutes ago. there is not that much going on from volume per perspective and momentum perspective. i think this week played itself out. we're in a bull market. the correction if needed will come quickly. people keep powder dry an be ready to come back. tough buy dips for 2014 u. you have to be careful where you buy it. risk/reward is skewed. don't want to go long here. liz: the guy behind you wearing beats? i don't think so. those look like 1970s headphones. >> i own a red pair of beats. liz: that is cool. he is a young pup. adam: tim cook over at apple. liz: have a good weekend. thanks. >> see you guys, bob, thanks. liz: the dow closes at all-time
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high after quite a choppy session and sizable declines for tech plays and small caps stalledket momentum earlier this year. adam: are we getting ready for a summer bounce? this is a great question to ask. is it time to commit more money to this market? joining us russ koesterich, blackrock chief investment strategist and i shares chief global investment strategist. can we trust this bull market? hasn't volume been so light it isn't indicative of things continuing to go higher? >> we heard that okay cuization about volume for some time. i still think we're in a bull market. the difference is we're not in the same type of bull market we were in 2013 where stocks were up 30%. this is more of a grinding higher year. i think stocks can go higher but they will have to go higher from earnings growth, rather than the type of massive multiple expansion that dominated the rally last year. liz: but we have clarity on a couple of issues. we're talking about this in the last hour. we certainly know there's a budget, at least for the moment
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in washington, d.c. we know rates will remain low because janet yellen has problem missed that. we know the weather is getting better. does that provide fertile atmos sphere for at least basic equities? or do you go oversea guide our viewers now what they should be doing. >> it is not either or or but actually both. yes, liz, i agree with you, a lot of the issues that tripped up the market the past few years, they haven't been addressed, there are still lingering risks out there. buy and large the fundamentals are good. we've got low rates, and low inflation. valuations are not great but they're not awful. i agree with the premise of your question for investors that have very little international exposure, this is a good time to commit money overseas and the reason is valuations outside of the u.s., are at much larger discount than they are here domestically. adam: shins we be concerned on the fact back at hoe, we have no wage increases essentially for the people who need them to buy stuff? we just saw huge explosion in
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consumer credit, revolving credit which seems to me if we're setting up for not a sustainable kind of growth that would consider this a buying opportunity into a bull market? >> look i think actually a very fair question for the long term. clearly the stagnation in income growth, something we've been write about for quite some time is a very important long-term issue of the silver lining of this from an investment standpoint that same low wage growth is one of the reasons that companies have managed to consistently beat their expectations, to improve the bottom line because that alone with low interest rates means there are two big cost, the cost of capital and the cost of lake bore, have remained very low. even with slow top line growth companies are growing that bottom line at a decent clip. liz: so, russ, what are the best sectors to be in right now knowing what we feel we know? >> well, i think the key is not to overpay. i heard your last guests and i very much agree. i think the market can go higher but you've got to pick your spots and to me the key things,
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look for relative value. in the u.s. that means a couple things. first of all larger looks cheaper. larger megacaps, much cheaper than small and mid-cap. generally cyclical names, energy, technology, some of the industrials, look much more reasonable than many defensive names like utilities and consumer staples that are getting bid up. adam: i know you can't name individual stocks. you've just gone through sectors but aren't you concerned too that investors are going to try to chase yield and chase them right into a cliff they will jump off of? >> i am concerned about about that because one reason we're cautious, for example about utility stocks. this is example of investors doing exactly what you suggest, chasing yield at any price and paying too much for a dividend stream and i would rather be in sectors more cyclical but much cheaper like energy. there is a real concern, don't overpay for the income. another reason for looking overseas. we can generally get income at a cheaper price. liz: income at cheaper price, i'll take that, we'll definitely
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take that. russ, good to see you. thank you so much for joining us. >> good to see you, liz. liz: russ koestrich of blackrock. adam: recalls keep rolling in. general mothertores announce ad new one. ford motor has one of its own. we'll tell you which models are being recalled. liz: last light was the nfl draft. it immediately transformed the lives of college kids into multimillionaires. we caught up with a few of them, yeah. we went and caught up with them. we will tell you how they're planning for their future. adam: you will have to comment on the browns. liz will talk about the browns. >> the browns. adam: a drought, it can whack farmers where it hurts. but what drought-busting seeds? they could really change not only farmers fortunes and but also fortunes for some big agricultural companies. jeff flock will join us live from iowa. ♪
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it looks like the future! we must have encountered a temporal vortex. further analytics are necessary. beam us up. ♪ that's my phone. hey. [ female announcer ] the x1 entertainment operating system. only from xfinity. tv and internet together like never before. liz: time for a quick speed read of some of the day's other headlines, five stories, one minute. first up, another recall for general motors? it is recalling nearly 92 -- 2014. buick lacrosses and chevy malibu vehicles due to structural issues with the brakes. recalls don't end there. for the issuing recall of 12.42013 and 2014 escape and c-max models after software glitch that could impact airbags and another that could prohibit doors pro fully latching.
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radioshack scaling back on its plans to close as many of 1/4 of u.s. stores after failing to reach a deal with lenders. >> apple iphone sales dropped in first quarter remains at top of market. the tech giant sold a total total 20 million packs and ipads last quarter. the winkelvoss twins are still betting on bitcoin. the parodies close ad regulatory variety for their winkelvoss bitcoin trust on the nasdaq. [buzzer] yes, they want to list on nasdaq. adam: i take your winkelvoss and raise you two bits. drought hitting corn and bean crops hard. a subsidiary of dow component dupont is testing aqua max hybrid seeds to combat dryness. liz: jeff flock is right outside of des moines with more on this jeff, you covered droughts for many years. what is this going to do?
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>> i have a drought going on right here, right now. it is part after research facility. steve reno who runs the business in north america for dupont pioneer you have a drought going on here, right? >> we can create a drought if we need to. these type of facilities help us bring the very latest technology and traits to growers. some of these products hine us, this is where some of our aqua max products were developed. >> i want to show our viewers wade. that is agricultural supply and demand. what they determined this yield this year. partly thanks to you, there could be a record harvest of corn again on fewer acres than you had last year because higher yields. that is what the aquamax product is about, fighting drought and producing higher yields. >> think about what we're trying to do is partner with growers to maximize product and -- productivity and manage risk. aqua max for them to help us and plant that on their acres.
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if it rains it will perform great. and if it doesn't, you know they have got that protection. this year with it will be planted 10 million acres, which is over 10% of the total corn acres. >> incredible. as we talk i want to put up numbers in terms of corn prices. look at this, very interesting. this is fast-grow corn, right? steve, this is a small plant. it enables you to find out what the traits are like without growing a full stalk. >> this gives us the ability to cycle corn very quickly, versus a 10-foot tall plant that will take several months. we can test here. we can see if the traits are in there. it allows us to bring traits to market quicker than ever before. >> before we get away, get your take on genetically modified seed. that is huge question. a lot of people say we need to label this seed. what do you say? >> biotechnology is safe. it's proven. it is effective and usedpy more than 18 million growers worldwide today. dupont pioneer we think biotechnology is great tool to help increase growers
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productivity and if we're going to feed seven billion world population going to nine, we're going to need those tools but we're also about giving growers choices. if they would like to plant, non-g much o and we have both gmo and non-gmo. what work best for farmers. >> some people like it. dupont's stock, if we take a look up 22% over the course of the past year. these are guys in some sense pioneered the concept of making seed better. coming up with hybrids and now genetically modified seed to increase yields. steve reno runs the business in north america. fascinating to see this place. this is about 90 degrees in here right now, that works for me after this past winter. liz: 63 here in midtown manhattan, jeff. so enjoy it. adam: enjoy your time in the sun so to speak. liz: big developments at dupont in fox business exclusive. usually when you hear a company is reducing its client size doesn't sound like such a
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good thing but one company went against the grain. after a record year, is proving that smaller is actually better, just how are they doing it? we're talking to the ceo next. adam: plus apple is reportedly in talks, yeah, reportedly to buy head phone-maker beats by dr. dre, but, some industry experts are skeptical of this move. we'll tell you why we sat down with some of them and you'll hear what they have to say next. ♪ stick with innovation.
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(agent) i'll walk you guys through every step. there are a lot of buyers for a house like yours. (husband) that's good to know. adam: did you hear about this? how could you avoid it? apple reportedly in talks to buy beats electronics for $3.2 billion. the company had revenue of 1.2 billion last year. a third of what apple is offering. that may be the reason why a lot of people on the street can't believe apple's doing this. analyst gene munster wrote, this is a quote, i'm struggling to see the rationale behind this move. btig wrote, this is a change and pattern for apple that will justifiably generate questions for management. the financial times which first reported the news, wrote, such a deal would be in my british accent, rubbish. bad and overpriced. my grandmother in montreal used
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to say rubbish. beats muse, currently quote, lacks the scale to be worth $3.2 billion. if the deal happens there are some companies that could feel the heat including headphone-maker skull candy, harman and sms audio. and music streaming services pandora and spotify. i will show my age, what happened to boston acoustic? we called the companies for comment and only spotify called and said, no comment. dr. dre and carlyle group, dr. dre could be become the first billionaire rapper when the carlyle group paid 50% of the company. if the it goes through, carlisle will make one billion in profit. apple end the day lower. liz: we have breaking news on herbalife, hlf. here is the news. according to sources telling fox business, that the firm, meaning herbalife, has found, quote, listening devices at its
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headquarters, meaning bugs. we don't know anything about who planted them but basically the firm has been searching around and doing investigation within its own buildings and has found listening devices at its l.a. headquarters. herbalife of course, it is health sheikh company at the center of this huge battle between billionaire bill ackman who absolutely believes it's a total pyramid scheme and he has been shorting the stock at a till, he is not winning this price, and carl icahn the billionaire who believes it's a long for this bet. and he likes the company. once again apparently according to sources talking to fox business there may have been some listening device, meaning bugs found at the herbalife headquarters. no word on who planted them. you can bet charlie gasparino is on this story. for many companies having more clients, more customers, right? , means gaining more revenue. one company has disproved that theory. since 2004 marketing and pr firm taylor has gone against the grain and slimmed its roster of
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70 clients, seven, 0, to about 15. last year the company recorded its highest revenue in agency history just how did this old-fashioned sports marketing firm become one of the top agencies in the country beyond sports? we have taylor managing partner. we found this story very interesting because everybody always says, expand, we need more customers, more clients. you did the opposite. why? went through your mind when you decided to do that? >> our main focus was trying to provide greater value. for us trying to work with 70 clients and have about 55 professionals work against that, just wasn't having impact. we weren't laddering up to the business building objectives or branch strategies. so we made a very difficult decision and we slowly but surely over a five-year period narrowed it down to just 15. but the key is, the ideal 15 client partners, from what was 70 clients. because you need to be able to
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align yourself with brands that understand the importance of true strategy, consumer insights. that's with we've done. liz: can focus more on them. you went with caught, not quantity. everybody knows your clients. you have proctor & gamble. you've got nike. we could put up the list. it is unbelievable. andy age yo, nascar, nestle, starwood, rjr, kraft. the list goes on. it is limited now, when a ceo comes and says i know this sound counterintuitive, we'll go smaller, bigger, whatever your theory or strategy is, hard to change people's cultural mind set. did you run into walls? or when it came to people pushing back, wait a minute we've always done it another way? >> yes. liz: how do go against that. >> this was pushback internally and externally. this clearly went against the grain. in early stages that you move away from clients not aligned in
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vision, what is happening? you're losing revenue. at the same time we're adding intellectual capital that will allow to us better serve the very few, the brands that you just mentioned. so, the shift in mind set was critical. you have to make sure that you have the individuals who are ready to embrace change. that's really the critical point in all of this because if you don't have those individuals aligned with you from the very beginning you are never going to transform. liz: you're not on board. either start rowing or get off, right? >> yeah, in different terms but certainly this is not a vision that appropriate -- liz: look, your theory was so stunning -- >> radical. liz: and radical because you ended up making more revenue, more money by doing it this way that harvard business school decide to make a case study of your business. >> what they wanted to look at is this? is there a correlation between loyalty with your client partners who understand what you're trying to achieve on their behalf? let's be very clear. this entire transformation, the
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sacrifice, commitment of 100 professionals was done for one reason. provide greater value to those client partners. so if everybody, again is in alignment with that, it's a lot easier but in the early going, trying to, let's just say persuade the internal stakeholders that they will be losing you know, profit and net income in the first couple of years but keep your eye focused on long-term vision, it was a challenge but everyone believed. liz: tony signore, you have taken the road less traveled and it worked well. >> thank you very much. liz: you're winning a say per award. wonderful what success you found going in other direction from the crowd. >> i would like to say one thing though. this is really about those 100 professionals. they're on the front lines each an every day, redefining themselves redefining an industry from a marketing strategy standpoint. liz: the company is taylor. tony is ceo. >> anytime. liz: adam, over to you. adam: let's keep talking about success. up next, shine knoll last, known
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for its detroit-built watch watches. we'll tell you about the company is investing more money in detroit while investing in its made in america brand. we'll bring you announcement on fox business. liz: talk about the road less traveled, shinola has done it. these pictures two blocks north of fox business. we went over there to cover round one. a front row seat, we're giving you soon young millionaires and how they can better manage their fat paychecks. ♪ ♪
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my mom works at ge. so i can reach ally bank 24/7, but there ar24/7.branches? i'm sorry, i'm just really reluctant to try new things. really? what's wrong with trying new things? look! mommy's new vacuum! (cat screech) you feel that in your muscles? i do...
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drink water. it's a long story. well, not having branches let's us give you great rates and service. i'd like that. a new way to bank. a better way to save. ally bank. your money needs an ally. liz: potentially stunning news in the herbalife story. charlie gasparino has it. charlie? >> i don't know what to make of all this but i will read the headlines. we confirmed at fox business network, that herbalife over the past year found hidden listening devices at its l.a. headquarters. herbalife described those listening devices also known as bugs by the way, that is snoop term for them, described then as non-governmental. the people at herbalife from what we understand do not believe this is government bug that someone else planted, whatever these things were inside the l.a. headquarters. we should point out that herbalife found these devices
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over the past year. and as you know herbalife is locked in a about the well big ackman, the famous short seller who thinks the company is pyramid or a scam. that doesn't mean bill ackman did this i'm not saying if he did this. i don't know who did this. we will have a call into bill ackman to see if he wants to comment on this clearly the company believes it has been spied upon by outside forces that is not the government. we put a call into herbalife because we got this independently confirmed from outside sources. the company has no comment at this time but this information is solid. they did find this over the year. we don't know the scope and the magnitude. but you know, finding one is, kind of crazy enough. guys, back to you. liz: charlie gasparino on herbalife, bugs found in its l.a. headquarters. more on this for sure. adam: where is csi when you have the business network. charlie, thank you. shinola known for its
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detroit-built watches is making announcement. they open an in house factory for leather goods and continue to expand their american-made brand. liz: joining us "first on fox business" interview ahead of their big factory opening the shinola ceo. right here we have the products. of course the leather watch bonds is what you're talking about. talk about the expansion at a time when detroit is in the news headlines. what is driving this? >> there is some very positive news, and we can talk about that our first year an verse hesy of selling watches in the united states. next week we'll open our small leather factory. the idea is to build and make leather straps in that factory, all from whole leather and see on the watches, that perfect fit with both the watch and strap. adam: a lot of people, i wear a leather strap, i prefer a leather strap. you're partnering i don't know the term, leather workers, leather manufacturers to train the folk in detroit so they can
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have a standard equivalent across the world? >> right. absolutely. so what we've done, we partneredded with a company out of switzerland called bull loaf have. -- bulova and bought equipment out of italy. what we do with watches we'll have world class, manufacturing capability. liz: what is a advantages of building in detroit and expanding in detroit? you're building small leather goods as well. >> absolutely. we love being in detroit. people hear difficult stories out of detroit. nobody should diminish those stories. there is refreshing and positive news that comes out of the city. for instance, we started two years ago we started with five people. today we're up to 260 people. 80, 85% are out of detroit. a lot of people are looking for jobs. we've hired those people. we found that they wanted to work hard. we built an incredible team there, to such an extent the work coming out of that factory today is such high quality, on our watches we offer a lifetime
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warranty. we feel so quality about the quality of those watches. liz: go detroit. adam: fossil doesn't give you 10 years. where are is great demand for watches? is major cities like detroit, los angeles chicago, new york? >> it is across the board. we're supported in a huge way by the city of detroit, obviously the state. but our demand is coming from across the united states. it's a product made for the united states white house we're very high-end. liz: the september issue of vogue is hottest when it comes to advertising. >> right. liz: suddenly i turn the page, we follow your story because we find it fascinating. >> right. liz: here was this ad. i felt almost pride, because vogue is chanel and louis vuitton and coach and here were you guys. >> exactly. liz: there must be demand to pay for that kind of advertising? >> there is lot of demand out there. we produce about 50,000 watches last year. we sold basically all of them. we were not able to keep up with
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demand. in fact, if you want to buy a watch for mother's day today we may not be able to get it to you for mother's day but certainly get it to you very, very quickly. liz: can people order on the website? >> absolutely. shinola.com. you have a lifetime warranty. adam: modeling for you. looks much better. >> you look fully and wonderfully dressed. liz: you wear it well. >> you wear it well. liz: steve, congratulations. >> thank you very much. liz: hiring another 20 people in detroit. each one counts. >> thank you very much. liz: steve bock of shinola. shinola.com if you want one. >> there you go. adam: coming up the nfl draft took place within spitting distance of this studio, just up the street at radio city music hall and sixth avenue. fox news is there. we caught up with some lucky first round picks and asked how they plan to handle their newfound fame and fortune. johnny football was there. can you start tomorrow?
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yes sir.
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alright. let's share the news tomorrow. today we failrly busy. tomorrow we're booked solid. we close on the house tomorrow. i want one of these opened up. because tomorow we go live... it's a day full of promise. and often, that day arrives by train. big day today? even bigger one tomorrow. when csx trains move forward, so does the rest of the economy. csx. how tomorrow moves.
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liz: starting off with a bang, the houston texans selected south carolina's jadeveon clowney with the first look in the 2014 draft. that selection rocketed him from a college kid scraping buy to instant millionaire. his rookie contract could earn him more than 22 million. this isn't the first deal the defensive end signed. companies recruited clowney in hopes the college phenom becomes their next big money maker. puma. you see me? no, i'm hoping a face and smile. you see it, don't you? liz: plus endorsement deals with gillette, new era and wilson. several other members of the 2014 draft class have already signed sponsorship deals. number three overall pick, blake board tills, drafted by jacksonville jaguars and johnny manziel, drafted 22 by the cleveland browns are nike's newest pitchmen. what makes these players so
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marketable? >> being personable. being friendly. being somebody hopefully other people want to hang out with, i guess. hopes makes me marketable. >> i think, the way i live my life. i'm a normal guy just as anybody else walking around the streets of new york. i like to have a lot of fun but at the same time i'm a football player and about my business about what i need to do. liz: first round picks are expected to earn salaries of more than $6 million over the first four years of the league, surprisingly none of it guaranties lasting fortune. a staggering 78% of the nfl players are broke within two years of leaving the league. but players do seem to be getting the message saying they will be reckless on the grass but not with their green. >> hopefully save that and get, like i did. keep creating financial stability for my family. hopefully my kids kids and their kids can have money. >> i'm working on signing with a financial advisor and hopefully
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i'll get as much help as he says he is going to give me. liz: they're getting smarter. they're realizing it's a short career. thanks to shauna smith our producer and went up there and braved crowds got in had, it is amazing how hot this event has become. adam: hopefully after they all retire and condo what "johnny football" is doing, now named johnny cleveland. liz: they're selling tickets, right off the bat. sold season tickets like hotcakes. adam: talk about this there is proof that apple's purchase of beats audio could be more than just a rumor? we've got video and you don't want want to miss this. liz: plus the hot tub cinema debuts in new york and set to make a big slash in the movie business. we have the story. yes, adam and i both lived and worked in cleveland. adam: and loved it. liz: and loved it. ♪ afghanistan, in 2009. orbiting the moon in 1971.
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adam: go back "off the desk." facebook video post from actor tyrese gibson appears to be proof that apple's purchase of beats audio is in the bag. >> oh, [bleep] forbes list just changed. they came out a fewtwo weeks ago. they need to update the forbes list just [bleep] changed. >> in a big way. >> oh my. >> first billionaire of hip-hop right here from the [bleep] west coast. gerri: you understand their happiness. you heard it straight from the source. that was dr. dre on the left. that will make dr. dre the first billionaire rapper, ever. ever. also "off the desk," hot tub sina series. this is debuted on a brooklyn rooftop. it offers skyline views, inflatable hot tubs, alcohol and big screen films. the party allows groups of six to reserve whole entire tubs for $55 a ticket.
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once the movie ends, the hot tub hopping is encouraged. adam: 55 bucks, you buy the beer. liz: what if they pop it? adam: we asked on facebook and twitter if apple changes the beats headphone name, what do you think the name should be? liz said i-ears. liz: liz said a name change may not matter. they overpaid by $2.2 billion. adam: dr. dre has attitude and cash. the number one thing to watch next week will be earnings from dow component cisco and walmart. cisco set to report after the bell on wednesday. the tech giant expected to pose e ps4 8 cents. walmart they're scheduled to report before after the bell on thursday. analysts expect the retail giant eps a buck 15. revenue, 115.75 billion bucks. liz: charlie gasparino first to report that herbalife discovered
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listening devices or bugs in its l.a. headquarters. list tone to foxbusiness.com because he will update the story as he gets more. adam: gerri willis is up next with "the willis report" is next. liz: go browns. gerri: hello, everybody, i'm gerri willis. right now on "the willis report," are online tests the latest key to landing a job? also would you wait in line an hour for this? this is great. i'm telling you wish you were here. creator of the infamous cronut is here with the latest invention. if you write an online review, you better watch out. you could get sued. we're watching out for you on "the willis report." gerri: professional athletes and product endorsements are bigger than ever but what happens, what happens when great expectations are dashed? look at the young man known as "johnny football." last

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